Leofoo betting on hotels to rebound

By Amy Su / Staff reporter

Thu, Dec 05, 2013 - Page 13

Leofoo Tourism Group (六福旅遊集團), which operates hotels, theme parks, movie theaters and bakeries, aims to boost its hotel business in the hope of turning a profit next year, its executives said.

The group initiated a management reshuffle earlier this year after posting a net loss of NT$113.93 million (US$3.84 million), or losses per share of NT$0.34, in the first six months of the year.

However, the group has seen business rebound this quarter, with the Westin Taipei (台北威斯汀六福皇宮) — a luxury hotel owned by Leofoo Tourism and operated under a license by Westin License Co — turning in sound revenue figures in October and last month.

“The fourth quarter of the year is the peak season for the food and beverage business,” Anna Chou (周娜慈), executive assistant manager of marketing communication at Leofoo Tourism, told a media briefing.

The hotel has received more orders for annual party banquets from corporate customers this year, with average spending by these types of clients rising slightly from last year, Chou said.

In addition, the demand for wedding banquets has helped generate NT$120 million in sales for the company, with wedding orders this quarter surpassing those for other services, she added.

For next year, the Westin Taipei aims to attract more free independent travelers, especially from Japan, hotel manager Ben Chen (陳怡斌) said, adding that the hotel’s Japanese clients had already risen by 30 percent this year.

“We hope to raise our number of total customers from Japan to 20 percent next year, from 17 percent this year,” Chen added.

Attracting more free independent travelers may help the Westin Taipei attain its target of boosting the average room rate to NT$7,000 next year, from NT$6,500 this year, the hotel added.

The hotel also aims to raise its average room occupancy rate to 80 percent, from the 70 percent rate it has now, it said.